Miller v. Lutheran Conference & Camp Association

331 Pa. 241, 200 A. 646, 130 A.L.R. 1245 (1938)

Facts

The Pocono Spring Water Ice Company was formed to create a dam and to have exclusive use of the waters of Lake Naomi, a man-made lake. The corporation organized to build the dam was given a 99-year lease for those who owned the land and formed the corporation. The company was to have exclusive use of the water and its privileges. After the dam was built, Lake Naomi was created and was 1-mile-long and 1/3rd mile wide. By a deed dated 1899, the company granted to Frank Miller (P) and his heirs the exclusive right to fish and boat in the waters of Lake Naomi. In 1900, P then granted to Rufus Miller a one-fourth interest in his fishing, boating, and bathing rights of Lake Naomi. On that same day, P and Rufus also entered into a business partnership to erect and operate boat and bathhouses on the Lake and to purchase boats for rental use on the Lake. P got ¾ths of the partnership while Rufus got 1/4th. Things went well until Rufus died in October 11, 1925. In 1929, the executors of Rufus Millers’ estate granted a license to the Lutheran Conference & Camp Association (D) to use the waters for one year. The license allowed D to boat, bathe, and fish on the Lake with a percentage of the receipts to be paid to the estate. P filed suit to enjoin D from using the lake. P claimed in his suit that the company never conveyed bathing rights to P in its 1899 grant and thus P could not convey to Rufus. P also claimed that even if such rights were given the rights were easements in gross, inalienable and indivisible. D contends that the rights were transferred to P and even if they weren’t they were obtained by prescription and this made them alienable, and divisible. The trial court issued the requested injunction against D. D appealed.